Here's a question from my e-text:
By definition, a relation $R$ on $A$ is transitive if whenever $xRy$ and $yRz$, then $xRz$. That is, the logic is sort of like a "chain" or a hypothetical syllogism, if you will.
So in the diagram above, you have $xQy$ and $yQx$, and you also have $xQx$, so why isn't this transitive? I don't quite understand their logic.

That is only one case. You have to check that for all elements $a,b,c$ in the set on which the relation is being made, if it is true that $aRb$ and $bRc$, then it should also be true that $ aRc$. You have checked this for only one possible assignment of $a,b,c$, namely $a=c=x$ and $b=y$. You should also check what happens when $a=c=y$ and $b=x$, which is another possibility. This translates to : If $yRx$ and $xRy$ then $yRy$, which is not true here. Hence, the relation is not transitive.